Market reveiws and recommendations of Financial Company REAL INVEST.KZ (Kazakhstan) analysts on December 13, 2010

/IRBIS, December 13, 2010/ - JSC Finance Company REAL Invest.kz (Almaty, REAL Invest.kz) provided to IRBIS overview of major developments in Kazakhstan and the world markets on December 13, 2010. JSC Financial Company REAL Invest.kz notes the following significant developments on the world stock, commodity and currency market: - Friday trading on major U.S. and European markets ended mostly growth of quotations. Positive macro-economic reporting in the U.S., as well as a statement of EU president Herman Van Rompuy to conduct stress tests of banks European Union in February 2011 - are the factors that contributed to the positive conclusion of the last trading week. Thus, the index of consumer confidence in the U.S., calculated Organization Conference Board, rose in December by 2.6 points - to 74.2 points from 71.6. Analysts polled by MarketWatch, had expected the index will be in December of 72.9 points. In addition, the negative trade balance the U.S. fell in October to $ 38.7 billion from $ 44.6 billion in September. In this case, experts expect a decrease in trade deficit in the U.S. in October only to $ 44.3 billion, the attention of European players on Friday seized a message stating that in February of the coming of 2011, Euro zone banks face a new test for the stability and quality of assets. Moreover, the head of the European Union said that from now on will be "regular tests of banks' and be the improved financial management. Conclusion of the session caught indexes Europe mainly higher levels of discovery, only volatile CAC 40 was closed Friday lower at 0.02%. The U.S. Dow Jones and S & P 500 last Friday closed down the growth of quotations on 0,36% and 0.6% respectively, following the first week rose by 0.3% and S & P 500 by 1.3%. Next week promises to be eventful, apart from macroeconomic publications, the players are looking forward to the next meeting of Euro zone finance ministers, which presumably would be considered towards the required assistance to the remaining countries PIGS - Portugal and Spain. - Site emerging markets for the week recorded multidirectional change indices. Concern, which owned the first half of the Western players of the week, as well as the expectations you soon toughen monetary policy measures from the Chinese monetary authorities - the reasons why 3 out of 4 index BRIC countries on the basis of the past five trading sessions, fell substantially in market capitalization. An additional factor that lent the regional players of uncertainty has an ambiguous dynamics of primary sites, which after a rough start of the week, moved into a modest consolidation. - Oil prices on the results of last week fell by exactly 1%, having started trading on Monday with a mark of $ 89 and concluded the session on Friday at $ 88.1 per barrel. The entire second half of the week quotes "black gold" was consolidated into a new price range of $ 87-89, with three previous similar scenarios over the past four months, ended in a stable explosive growth. The past few months, are also characterized for the price of oil is almost complete loss depending both on the technical and the fundamental (and macroeconomic) factors, which influence the dynamics of the quotations of "black gold" is usually limited and lasts only for a small part of a single session. Amid all the above, currently there are real prerequisites to expect a new rise in oil prices, if the current levels will not be lost and the consolidation that began in the second half of last week, will not turn into profit-taking players. In general, "REAL Invest.kz" believes that traders will likely attempt to complete the passing year on a positive note, the benefit that the proximity of the maximum values of the past two years from current levels of quotations, will do so with relatively little difficulty. - the price of gold, after three weeks of growth at 11%, as a result of the past five trading sessions, fell by 1.6%, is firmly entrenched below $ 1400 per ounce. In general, if we consider the place in this moment of change in the dynamics of gold futures in the medium term, by and large, prices are "precious metal" are consolidated, with even a 10- 11% change in quotations, does not provide long-term stable motion. "REAL Invest.kz" expects that the completion of the price of gold will be met by clearly below the level of $ 1500 per ounce, with some potentially positive developments, such as a possible decision Euro zone finance ministers on aid Spain and Portugal, may provide a short-term growth . - currency pair EUR/USD after a three-percent correction from levels of 1.30, at the end of last week fell by 1.2%, ending Friday's trading a little above the mark to 1.32. Despite the fact that the medium-term daily chart still indicates a continuation of a downward dynamics, which started in early November, the trend line resistance does not look that simple. "REAL Invest.kz" believes that at least short-term regional European currency will be determined after a meeting of Euro zone finance ministers, the character whose statements likely will allow players to form a consensus regarding the prospects for the euro, at least until the end of the year. - much better things are in the currency pair GBP/USD, which, by the week, managed to add 0.25%, as close to the mark of 1.58. Daily chart of the British pound, while also indicates the presence of a downward trend, while at the same time, the first two weeks of December, were able to make substantial uncertainty into the camp, "bears." Friday's meeting of Euro zone finance ministers contribute to the formation of at least a short-term dynamics of the pair GBP/USD. Analysts of "REAL Invest.kz" noted that the most attractive stories among the shares of Kazakh companies are RD Kazmunaigas, Kazakhtelecom and Halyk Bank. Especially attractive EP KMG and Kazakhtelecom, as both companies are very strong balance sheet with low debt burden, the EP's net debt at all negative, i.e. cash flows of the company exceed liabilities. Besides their business generates more free cash flow, which allows them to pay a very solid dividends. Dividend income on preferred shares of KMG and Kazakhtelecom is 6-8% and 3- 4% of ordinary shares. Shares of these companies are traded much cheaper than the shares of similar companies in other emerging markets. This material is for informational purposes and is not an offer or recommendation to perform any transaction in securities. Agency IRBIS is not responsible for the opinions expressed in this material. [2010-12-13]